Insights

Switzerland's robust financial market now includes the rising trend of private debt certificates, offering an alternative to conventional financing. These instruments allow companies to raise capital directly from private investors, bypassing traditional banks.

Key Highlights:

• Market Growth: The Swiss private debt market is expanding, with increasing transaction volumes.

• Investor Profile: Typically, institutional investors like pension funds and insurance companies invest in Swiss private debt for stable returns and portfolio diversification.

• Benefits for Issuers: Private debt in Switzerland offers flexible terms, quicker execution, potentially lower capital costs, and no equity dilution.

• Regulatory Framework: Overseen by FINMA, Switzerland's regulatory environment for private debt is robust yet business-friendly, with specific compliance requirements.

Conclusion: Switzerland's private debt certificates are an evolving market segment, offering a viable alternative for companies seeking flexible and cost-effective financing without diluting equity. This market, supported by a stable economy and strong legal frameworks, presents significant opportunities for both investors and companies.